Friday, February 23, 2024

Telkom Group aims to lead the regional data center market

Reading Time: 2 minutes
Journalist IBP

Journalist

Editor

Interview

The Ministry of State-Owned Enterprises in Indonesia has indicated that the telecommunications company, PT Telkom Indonesia Tbk (TLKM), is well-positioned to become a market leader in the data center business within the regional market.

Rosan Perkasa Roeslani, Deputy Minister of State-Owned Enterprises, explained that this opportunity aligns with the vast potential of Indonesia’s digital economy. It is projected to reach IDR 4,531 trillion by 2030, with the contribution to GDP increasing from 4% to 18%.

This growth is accompanied by the rapidly increasing use and consumption of digital services, which require strong digital ecosystems, including data centers.

Rosan emphasized that the demand for data center services from enterprise, digital native businesses, and cloud service providers is expected to grow exponentially by 2030, both in the domestic and regional markets, due to the increasing need for content access.

“This presents a significant opportunity for Indonesia to lead the data center market in the region by establishing its own data center ecosystem,” said Rosan.

To seize this opportunity, Rosan mentioned that Telkom can play a major role in the data center industry and unlock its value through various options to optimize its data center business.

Bogi Witjaksono, Director of Wholesale & International Service at Telkom, stated that TelkomGroup currently operates 30 data center facilities, with 25 in Indonesia and 5 in foreign countries including Singapore, Hong Kong, and Timor Leste.

Bogi also disclosed that Telkom is actively supporting the development of a data center in the National Capital (IKN Nusantara) located in Sepaku, Penajam Paser Utara Regency, East Kalimantan Province. In addition, Telkom is considering several strategic options to unlock the future value of its data center business.

He explained that three crucial aspects are central to a company’s data center business: seamless, connectivity, and eyeball. Seamless connectivity refers to being connected with all of TelkomGroup’s data centers, including edge data centers.

Connectivity implies that Hyperscale Data Centers are connected to TelkomGroup’s broadband backbone infrastructure. Finally, eyeball signifies access to Telkom’s customers who are digital business users.

Bogi noted that TelkomGroup has engaged in strategic collaborations with tech giants and other strategic partners to expand its data center business in the regional market.

Together with Singtel, Telkom is constructing a Hyperscale data center in Batam with an investment value of approximately US$ 581 million. This data center in Batam is committed to using renewable energy, adopting eco-friendly practices, and incorporating a multi-tier system.

“TLKM’s core focus is to solidify its position as a Sustainable Digital Ecosystem Hub in the regional and global markets in the future,” Bogi concluded.

Journalist IBP

Journalist

 

Editor

 

Interview

SUBSCRIBE NOW
We will provide you with an invoice for your reimbursable expenses.

Free

New to Indonesian market? Read our free articles before subscribing to the premium plan. If you already run your business in Indonesia, make sure to subscribe to the premium subscription so you won’t miss any intelligence & business opportunities.

Premium

$550 USD/Year

or

$45 USD/Month

Cancelation: you can cancel your subscription at any time, by sending us an email inquiry@ibp-media.com

Add keywords to your market watch and receive notification:
Schedule a free consultation with us:

We’ll contact you for confirmation.

FURTHER READING

President Director of State electricity company PT PLN, Darmawan Prasodjo, has suggested that hydrogen fuel cell vehicles as future transportation is much more efficient when compared to fuel-based, even electric vehicles.
Vale Indonesia, a subsidiary of Canadian company Vale, has denied the Indonesian government’s claim that Vale Indonesia and Indonesian state-owned mining holding company MIND ID had reached an agreement with the government on the price of divestment shares.
Pertamina Hulu Mahakam (PHM) has secured the final investment decision (FID) approval to proceed with the implementation of the more than US$ 300 million Offshore Field Development Project (OPLL-3B) in the Mahakam Block.
Vela Alpha, a drone developed by PT Dirgantara Indonesia or PTDI in collaboration with PT Vela Prima Nusantara, also known as Vela Aero, made its appearance at the Singapore Airshow 2024 aviation exhibition.
The Upstream Oil and Gas Regulatory Task Force (SKK Migas), along with Inpex Corporation, is still studying global liquefied natural gas (LNG) market projections to secure long-term gas sales contracts for the Masela Block.
Ministry of Energy and Mineral Resources (ESDM) is unveiling a promising prospect for sustainable energy development mainly in Papua’s hydropower and its potential export.